Analysis of wave counting:
Most of the trading in the past week, the GBP / USD was traded in a fairly narrow price range, bargaining between the levels of the 33rd and 34th figures. The resulting wave situation allows the assumption of the currency pair to remain in the stage of formation of the wave c, in the 4th where in its internal wave b acquired signs of incomplete horizontal correction. At the same time, the currency pair retained the potential for resuming the decline of quotations towards the level of 1.3065 or even the level of 1.3000.
Objectives for working off a variant with a descending wave:
1.3065 - 38.2% Fibonacci retracement
1.2882 - 50.0% Fibonacci retracement
The objectives for working out the variant with an upward wave:
1.3479 - 11,4% by Fibonacci
1.3600
General conclusions and trading recommendations:
The sterling continues to build a downward set of waves in the composition of 4. A resumption of the decline in quotes within the wave s, to 4 uptrend sections of the trend is expected this week, with targets located near the calculated marks of 1.3065 and 1.2882 is expected, which corresponds to 38.2% and 50.0% of the Fibonacci. The upward boundary still retains the prospects for building an uptrend. Wave b in the 4th can take an even more complicated form, counting that all wave could undergo adjustments.
